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Is the cosigner of a student loan responsible to repay the balance of the loan if the student dies?

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βˆ™ 2006-08-22 05:25:35

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Most Loans Have An Insurance On The Person The Loan Is Made Out To. Check This Out, Get A Copy Of The Contract. If There Is Life Insurance AOn The Person That You Cosigned For, Then The Loan Should Be Paid Off By Insurance On Loan GOOD LUCK

2006-08-22 05:25:35
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Related Questions

If the cosigner on a student loan files bankruptcy is he still liable for the student loan he cosigned?

bankruptcies do not wipe out student loans by federal law, unless you can prove extreme inablilty to repay them


Would cosigning a car loan hurt you for a mortgage?

It may. When you cosign a loan it becomes your own debt. By cosigning you agree to be responsible for paying the loan balance if the primary borrower stops making payments. That's why the bank requires a cosigner. If you apply for a mortgage the lender will figure that debt into the calculations as to your ability to repay the mortgage you apply for.It may. When you cosign a loan it becomes your own debt. By cosigning you agree to be responsible for paying the loan balance if the primary borrower stops making payments. That's why the bank requires a cosigner. If you apply for a mortgage the lender will figure that debt into the calculations as to your ability to repay the mortgage you apply for.It may. When you cosign a loan it becomes your own debt. By cosigning you agree to be responsible for paying the loan balance if the primary borrower stops making payments. That's why the bank requires a cosigner. If you apply for a mortgage the lender will figure that debt into the calculations as to your ability to repay the mortgage you apply for.It may. When you cosign a loan it becomes your own debt. By cosigning you agree to be responsible for paying the loan balance if the primary borrower stops making payments. That's why the bank requires a cosigner. If you apply for a mortgage the lender will figure that debt into the calculations as to your ability to repay the mortgage you apply for.


Does having a cosigner lower the interest rate?

The cosigner can be held responsible for the loan if the original signer does not repay. Thus, the creditor has another means of access to the money, similar to collateral, and thus the presence of a cosigner lowers the interest rate.


Can your student loan debt be forgiven if your cosigner dies?

No. Your co-signer promised to pay if you didn't pay. You must repay the loans.


Who is a consigner?

If a lender does not feel comfortable with what they perceive as your ability to repay a loan they may ask that you get a cosigner. The cosigner is a person who would be guaranteeing the loan repayment if you were to default.


What can a 70-year-old cosigner on a car loan be held responsible for if the loan is found in default?

The cosigner has the same legal obligations to repay the debt as does the primary borrower. If the primary borrower defaults, the lender can begin proceedings to collect the full amount owed plus applicable fees from the cosigner. A cosigner can be sued just as can the primary borrower. And if the primary borrower claims bankrutpcy, the cosigner will still get "stuck" with the debt. The credit report of the cosigner will be equally affected, either in a positive or negative way, depending upon the circumstances.


What is the insurance liability for the cosigner of an auto loan?

None. A cosigner is entering into a legally binding contract to repay the debt if the primary borrower defaults on the lending agreement. The cosigner does not have any other obligation nor ownership rights to the property.


Are you responsible for a loan if you do not start classes?

If you do not start classes that you have paid for with a student loan, you should obtain a refund of the tuition and then use the refund to repay the loan.


Can the cosigner of a student loan be removed from the loan after the student finishes college and has a job and the ability to repay on his own?

No, a co-signer is legally and equally obligated until the loan is paid in full or until the loan is refinanced w/o the original co-signer being a party to the action.


Does the cosigner that's name is 2nd actually count?

Yes, of course your cosingers signature means something. It means that there is no way for to have been approved for what you applied for without their good credit to back you. It also means ,God knows I hope your cosigner has some sense, that your cosigner is 100% responsible for any default of restitution on your part. The cosigner is essentally applying for the very same thing you are--for you--on your behalf almost. Be good to your friend, parent, whoever has helped you and repay your loan on time.Happy holidays.


What are some jobs that pay off student loans?

You, not your employer, are responsible for paying off your debts. Student loans come due when you are no longer a student. Once you get a job you need to begin setting aside some of your earnings to repay your loan. If you don't repay your loan, and it is a federal loan, the IRS can (and will) deduct your loan amount from any tax refund you may have coming.


Do you have to repay a federal student loan?

Everyone has to repay the federal student loans. However some people are eligible, dependent on the job that they get after graduation, to have loan forgiveness for a portion of their loan. In that case they will only have to repay the portion of the loan that is not forgiven.


Can the cosigner demand that the car remain in the same state where he or she resides?

No, a cosigner does not have any legal rights to the vehicle, but does have the legal obligation to repay the debt if the primary borrower defaults on the contract. An exception could be if the cosigner is also named on the title to the vehicle, and if so, how the title is worded.


Does a spouse have to repay student loans after the person with the loans dies?

The student loan should be paid out of the estate of the deceased before it is distributed to the spouse. If there isn't enough to cover the debt, the spouse should not be held responsible for the balance, unless both people signed the loan. Many people misunderstand who pays the outstanding debt. The surviving spouse does not pay the debt, but it comes out of the estate before distribution.


Both your husband and you have student loans will you be responsible for his in a divorce?

Federally Guaranteed student loans are linked to the borrower by their social security number. Only the person listed on the loan by SS# is obligated to repay the loan, not spouses, parents, children, or anyone else.


Do you have to repay a student loan if you are a cosigner and the borrow doesn't pay it because he doesn't want to?

That is the whole idea to co-signing. Another party to collect from if the debtor doesnt/cant pay. You are the insurance policy that the loan will get repaid. AND neither the lender nor the debtor has to pay for that insurance.


Are a primary borrower and a secondary borrower on a car loan equally responsible for the loan?

Yes, the cosigner/co-borrower has the same legal responsibility to repay the debt/loan as does the primary borrower. If the primary defaults the creditor can attempt to collect from the co-borrower before the primary borrower.


What is a synonym for compensate?

recompense, repay, refun, reimburse, remunerate, atone, balance


Can a lender garnish wages after repossession in North Carolina?

Yes a lender can garnish your wages after a repossession. If the resell value of the item does not cover the cost needed to repay the lender, you are still responsible for paying the balance.


Do student loans automatically come with filing bankruptcy?

Federal Student loans cannot be discharged in bankruptcy. You must repay them.


Does the cosigner on an auto loan have to be on the insurance policy?

By co-signing the loan, they are guaranteeing that you will repay the loan. They do not need to be on the auto insurance policy, but it would be in their best interest.


What happens if you cant reach the student to repay your loan?

If a student is unable to repay a loan, then he or she should first talk to their lender. This will give the person a better chance of reaching an agreement, rather than ignoring the payments and defaulting on the loan.


Can student grant monies be garnished?

No, grant money is free money. You do not need to repay it.


When you have a cosigner on an auto loan is your credit considered at all?

yes, the reason for the co-signer is either due to lack of credit or the possibility of insufficient income to repay the loan


What are the disadvantages of cosigning on a mortgage?

If the primary borrower defaults the cosigner can get "stuck" with a huge debt and ruined credit. A cosigner has the same legal obligation to repay a loan as does the primary borrower. In addition, a cosigner does not have property owner rights, only the debt. The real question is why would anyone agree to pay a mortgage for land they do not own. A co-signer has an equal obligation to pay the mortgage.